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Governors and pension laws – Punch

The Citizen by The Citizen
December 9 2016
in Public Affairs
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Not so long after his November 12 inauguration, Governor Godwin Obaseki of Edo State has found himself in the eye of the storm. Instead of thinking about the enormity of the challenges ahead, he is grappling with a contentious law awaiting his signature. This statute is the freshly minted 2007 Pension Rights of the Governor and Deputy Governor Law, in which the House of Assembly approved obscene pensions for former governors and their deputies. It is a litmus test for Obaseki, who is caught between satisfying his political benefactor and doing the right thing, which is to refuse his assent.

Really, the devil is in the details. In the new provision, a former governor is entitled to a house at any place of his choice in Nigeria at a cost of N200 million. An ex-deputy governor gets a N100 million mansion. Other fringe benefits include pension for life at a rate equivalent to 100 per cent of the last annual salary, three brand new cars every five years, drivers, domestic staff and free medical service for them and their immediate families. At a time the minimum wage of N18,000 monthly is abominably insufficient, this is immoral. But will a neophyte governor be courageous enough to turn down the pension law, and dare the consequences?

It is shocking that the bogus benefits are starting with Adams Oshiomhole, once a fiery labour leader. His antecedents as a pro-masses activist do not tally with these bizarre perquisites. It does not make economic sense to approve such packages for a few people, especially during stagflation. How will Edo people cope with the financial outlay in these turbulent times? The political leadership in Edo should face the reality and stop grandstanding.

In truth, it is wrong to approve so much reward for politicians who occupy public office. Many retired civil servants have died in pension queues just as serving ones go unpaid for months. In February, Oshiomhole lamented that the state was behind in pension payments to retirees. Saying that the state faced a monthly pension bill of N330 million, the then governor cautioned that it would increase to N500 million monthly if the trend was not checked. Oshiomhole’s duplicity is obvious: a few months on, only him and his ex-deputy will have two houses built for them for N300 million, which is enough to settle the state’s monthly pension bill. When you add all former governors of the state and their deputies, the injustice is staggering.

To demonstrate that he is not behind the detestable pension scheme, Oshiomhole should reject it. Likewise, Obaseki should not sign it. Oshiomhole and his deputy should enjoy the severance benefits enshrined in the law, and nothing more. According to the Revenue Mobilisation Allocation and Fiscal Commission, a political office holder is entitled to 300 per cent basic salary as severance allowance. This is generous enough.

Yet, the outrageous pension law in Edo is not unprecedented. Before now, at least eight states had passed laws that gave outrageous pensions to former governors. In this category are Lagos, Rivers, Akwa Ibom, Gombe, Sokoto, Kano, Kwara and Zamfara states. The 2007 Lagos Pension Law approved by Bola Tinubu gives a former governor life pension at the rate of N30 million per annum, one house each in Lagos and Abuja, six brand new cars every three years and other allowances. This is scandalous.

In the twilight of his eight-year rule in 2015 in Akwa Ibom, Godswill Akpabio approved a new pension law that started with him, which grants N200 million annual pay to ex-governors. He enjoys a pension for life at a rate equivalent to the salary of the incumbent governor. It is the same with an ex-deputy governor. The amended law gave an ex-governor and the deputy N100 million and N50 million respectively for medicals annually but after an uproar, this provision was scrapped.

In Rivers, the law provides 100 per cent of annual basic salaries for ex-governor and deputy, one residential house for a former governor “anywhere of his choice in Nigeria”; one residential house anywhere in Rivers for the deputy, three cars for the ex-governor every four years; two cars for the deputy every four years. In Gombe, there is N300 million executive pension benefits for an ex-governor. This is obscene in an environment where infrastructure is non-existent, and the citizens are hobbled by deep-seated poverty and high illiteracy.

But why are our rulers like this? The trend illustrates the broken, lopsided reward system in the country. The social contract favours only the political class. On the face of it, politicians pretend to care, but deep down, they employ subterfuge to deny the majority the good life. Such a political system that serves the self-interest of office holders is built on quicksand; it is heading for a violent convulsion.

More upsetting is the fact that 21 of these retired governors/deputies are currently entitled to salaries in the Senate or the federal cabinet. They include Senate President, Bukola Saraki, Minority Leader, Akpabio, Danjuma Goje, Rabiu Kwankwaso, Babatunde Fashola, Rotimi Amaechi, Kabiru Gaya and Aliyu Wamakko. In the United States, this is called “double dipping.” While it is not against the law to receive salaries at their current posts, it is immoral considering the vulgar pensions they are drawing from their states.

Although a country like the US has generous rewards for political office holders in retirement, it had an economy with a GDP of $17.9 trillion in 2015 (World Bank). Also, the retirement benefits of public officials are not as outrageous as  are currently obtained in Nigeria.

People power is real. They are the real custodians of power. Taxpayers, who bear the brunt of this political impunity, should rise up and force their state governments to reverse these laws. Standing aloof is not helping. The citizens should not relent until these pension schemes are scrapped. Obaseki should lead the way by throwing out the amendments passed for Oshiomhole and others by the Edo House of Assembly.

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